Why is Hipolin Ltd ?
1
With a Operating Losses, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate 3.59% of over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -1.31
2
Negative results in Dec 24
- DEBTORS TURNOVER RATIO(HY) Lowest at 4.74 times
- NET SALES(Q) Lowest at Rs 5.04 cr
- PBDIT(Q) Lowest at Rs -0.57 cr.
3
Stock is technically in a Bearish range
- The technical trend has deteriorated from Mildly Bearish on 07-Apr-25 and has generated 1.22% returns since then
- The stocks MACD and KST technical factors are also Bearish
4
Risky - Negative EBITDA
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -43.10%, its profits have fallen by -18%
5
39.98% of Promoter Shares are Pledged
- In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
- The proportion of pledged holdings has increased by 0.99% over the last quarter
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hipolin for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hipolin
-43.1%
-0.77
56.22%
SENSEX
0.45%
0.03
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
24.76%
EBIT Growth (5y)
3.59%
EBIT to Interest (avg)
-1.31
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
1.32
Tax Ratio
0
Dividend Payout Ratio
0
Pledged Shares
39.98%
Institutional Holding
0
ROCE (avg)
-12.01%
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
54
Price to Book Value
2.58
EV to EBIT
-24.06
EV to EBITDA
-25.67
EV to Capital Employed
2.35
EV to Sales
1.33
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-5.77%
ROE (Latest)
-4.33%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
No Trend
Technical Movement
2What is working for the Company
NET SALES(9M)
At Rs 17.17 cr has Grown at 23.70%
-8What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.74 times
NET SALES(Q)
Lowest at Rs 5.04 cr
PBDIT(Q)
Lowest at Rs -0.57 cr.
OPERATING PROFIT TO NET SALES (Q)
Lowest at -11.31%
PBT LESS OI(Q)
Lowest at Rs -0.63 cr.
EPS(Q)
Lowest at Rs -1.82
Loading Valuation Snapshot...
Here's what is not working for Hipolin
Net Sales - Quarterly
At Rs 5.04 cr has Fallen at -13.6% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 5.84 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 5.04 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs -0.57 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at -11.31%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs -0.63 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs -1.82
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Debtors Turnover Ratio- Half Yearly
Lowest at 4.74 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio